2024 Bright Insight

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BUSINESS & TALENT STRATEGY BUSINESS CHALLENGES Long-running challenges surrounding the recruitment and retention of attorneys and pressures on the business model (i.e., fee structures) are still the two most frequently cited challenges that law firms face. In-office workplace preferences were newly included as a selection in this year’s Bright Insight Benchmark Survey and cited as the third greatest business competition challenge that law firms face. Presumably, firms that aren’t willing to offer a greater degree of flexibility in terms of remote/ hybrid work are giving competitors who do an edge and opening themselves to poaching of attorneys and staff who value flexibility in where they work. In addition, partners at law firms are cognizant of the current high-interest rate environment and capital costs were indicated as a significant challenge by 23% of respondents this year, up from just 13% last year . Cash flow concerns have risen as well— while it was the least frequently indicated issue last year, it rose to the middle of the pack this year, overtaking concerns surrounding high overhead, real estate issues, globalization and difficulty reaching an internal consensus.

Long-running challenges surrounding the recruitment and retention of attorneys and pressures on the business model (i.e., fee structures) are still the two most frequently cited challenges that law firms face.

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